ETLA Discussion Papers, The Research Institute of the Finnish Economy (ETLA) 827
This paper presents new calculations for the production and use of information and communications technology (ICT) in Finland from 1975 to 2001. ICT-production has in the late 1990s had significant impacts on growth and labour productivity (LP). As the increase in LP seems to have mushroomed only in the production of ICT, aggregate LP growth experienced a slowdown. Labour productivity growth in the period 1995 to 2001 manifests larger structural changes than in previous periods, with the step-up in multi-factor productivity being the most notable. The relative contribution of ICT-capital deepening has also increased. To put the Finnish productivity and growth into perspective, we also report recent evidence from other advanced countries.
information and communication technology ICT new economy labour productivity structural change multi-factor productivity MFP growth accounting